True. When the demand for a product exceeds the available supply, the price of the product tends to increase. This happens due to the basic economic principle of supply and demand. When there is a high demand for a product but limited supply, it creates a situation where buyers compete for the available quantity. This increased competition among buyers leads to a higher willingness to pay, and sellers can take advantage of this by raising prices to maximize their profits. Therefore, when demand outstrips supply, the price of a product is generally higher.
